View Single Post
Old 11-05-11 | 05:42 PM
  #7  
SlimRider
Banned
 
Joined: May 2011
Posts: 5,804
Likes: 0
From: Northern California

Bikes: Raleigh Grand Prix, Giant Innova, Nishiki Sebring, Trek 7.5FX

Originally Posted by mnemia
Even if it were true that steel cost more than aluminum, I don't see how that would necessarily closely relate to the price of new bikes. I'd imagine the cost of the raw metal is a relatively small fraction of the cost in both cases. More relevant would be the cost of machining it, cost of components, and marketing strategies. No company sells their products as close to cost as possible, especially if the market they are in is not a highly competitive one for an interchangeable commodity. They sell their products for the highest price they think they can get people to pay. That may or may not be tightly coupled to their costs. This doesn't mean they are ripping people off; it just means they are maximizing their profits.
Who said anything about people getting ripped off?...It's a free market system. Charge whatever I'm willing to pay! If I don't like it, I won't pay for it! It's just as simple as that! Nobody said anything about anybody getting ripped off! Where'd you get that?

- Slim
SlimRider is offline  
Reply